Treasury Management in Banking Training Course

Module 1: Introduction to Treasury Management in Banking

·       The role and strategic importance of treasury in a bank

·       Structure and organization of a bank's treasury department

·       Key functions of treasury: liquidity, funding, investments, FX, risk management

·       The relationship between treasury and other banking departments

·       Overview of the Kenyan financial market and regulatory landscape

·       Practical session: Analyzing the organizational structure of a treasury department in a Kenyan bank.

Module 2: Liquidity Management in Banks

·       Importance of liquidity and its impact on bank stability

·       Sources and uses of liquidity for a bank

·       Liquidity risk measurement and management techniques

·       Liquidity gap analysis and stress testing

·       Regulatory requirements for liquidity management in Kenya (CBK guidelines)

·       Practical session: Conducting a basic liquidity gap analysis for a hypothetical bank.

Module 3: Bank Funding Strategies and Money Markets

·       Sources of bank funding: deposits, interbank borrowing, repurchase agreements (repos)

·       Accessing the Kenyan interbank money market

·       Issuance of debt instruments: Treasury bills, commercial paper, bonds

·       Correspondent banking relationships and funding

·       Strategies for diversifying funding sources

·       Practical session: Simulating an interbank lending/borrowing transaction.

Module 4: Investment Portfolio Management for Banks

·       Objectives and principles of bank investment portfolios

·       Types of permissible investments for banks in Kenya

·       Investment policy formulation and risk appetite

·       Portfolio construction, diversification, and asset allocation strategies

·       Performance measurement and benchmarking of investment portfolios

·       Practical session: Constructing a sample investment portfolio for a Kenyan bank based on given constraints.

Module 5: Foreign Exchange (FX) Operations and Risk Management

·       Structure and dynamics of the global and Kenyan FX markets

·       Types of FX transactions: spot, forward, swaps

·       Managing FX exposures: transaction, translation, and economic risk

·       Hedging FX risk using forward contracts and other instruments

·       Regulatory requirements for FX operations in Kenya

·       Practical session: Executing simulated spot and forward FX transactions.

Module 6: Interest Rate Risk Management (IRRBB)

·       Sources and types of interest rate risk in banking

·       Measuring interest rate risk: gap analysis, duration gap, simulation

·       Impact of interest rate changes on a bank's earnings and capital

·       Strategies for managing interest rate risk: asset-liability management (ALM) techniques

·       Regulatory guidelines for IRRBB in Kenya

·       Practical session: Analyzing the interest rate sensitivity of a bank's balance sheet using a basic gap report.

Module 7: Use of Financial Derivatives in Treasury Management

·       Introduction to financial derivatives: forwards, futures, options, swaps

·       Applications of derivatives for hedging interest rate and FX risk

·       Understanding the mechanics and risks associated with derivatives

·       Regulatory considerations for derivative usage in Kenyan banks

·       Accounting treatment of financial derivatives

·       Practical session: Understanding the payoff profiles of basic interest rate and currency swaps.

Module 8: Balance Sheet Management and Optimization

·       Understanding the key components of a bank's balance sheet

·       Strategies for optimizing the balance sheet structure

·       Managing the trade-off between liquidity, profitability, and risk

·       Capital management and its relationship with treasury functions

·       The role of treasury in strategic balance sheet decisions

·       Practical session: Analyzing a sample bank balance sheet and identifying areas for potential optimization.

Module 9: Treasury Regulations and Compliance in Kenya

·       Overview of the Central Bank of Kenya (CBK) regulations relevant to treasury operations

·       Reporting requirements for treasury activities

·       Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) considerations in treasury

·       Compliance with international regulatory standards (where applicable)

·       Best practices in treasury governance and internal controls

·       Practical session: Reviewing a specific CBK guideline related to treasury operations.

Module 10: Treasury Performance Measurement and Reporting

·       Key performance indicators (KPIs) for treasury functions

·       Developing treasury performance reports for management and the board

·       Benchmarking treasury performance against peers

·       Utilizing technology for treasury reporting and analysis

·       Communicating treasury strategies and performance to stakeholders

·       Practical session: Developing a set of relevant KPIs for a bank's treasury

Requirements:

·       Participants should be reasonably proficient in English.

·       Applicants must live up to Armstrong Global Institute admission criteria.

Terms and Conditions

1. Discounts: Organizations sponsoring Four Participants will have the 5th attend Free

2. What is catered for by the Course Fees: Fees cater for all requirements for the training – Learning materials, Lunches, Teas, Snacks and Certification. All participants will additionally cater for their travel and accommodation expenses, visa application, insurance, and other personal expenses.

3. Certificate Awarded: Participants are awarded Certificates of Participation at the end of the training.

4. The program content shown here is for guidance purposes only. Our continuous course improvement process may lead to changes in topics and course structure.

5. Approval of Course: Our Programs are NITA Approved. Participating organizations can therefore claim reimbursement on fees paid in accordance with NITA Rules.

Booking for Training

Simply send an email to the Training Officer on training@armstrongglobalinstitute.com and we will send you a registration form. We advise you to book early to avoid missing a seat to this training.

Or call us on +254720272325 / +254725012095 / +254724452588

Payment Options

We provide 3 payment options, choose one for your convenience, and kindly make payments at least 5 days before the Training start date to reserve your seat:

1. Groups of 5 People and Above – Cheque Payments to: Armstrong Global Training & Development Center Limited should be paid in advance, 5 days to the training.

2. Invoice: We can send a bill directly to you or your company.

3. Deposit directly into Bank Account (Account details provided upon request)

Cancellation Policy

1. Payment for all courses includes a registration fee, which is non-refundable, and equals 15% of the total sum of the course fee.

2. Participants may cancel attendance 14 days or more prior to the training commencement date.

3. No refunds will be made 14 days or less before the training commencement date. However, participants who are unable to attend may opt to attend a similar training course at a later date or send a substitute participant provided the participation criteria have been met.

Tailor Made Courses

This training course can also be customized for your institution upon request for a minimum of 5 participants. You can have it conducted at our Training Centre or at a convenient location. For further inquiries, please contact us on Tel: +254720272325 / +254725012095 / +254724452588 or Email training@armstrongglobalinstitute.com

Accommodation and Airport Transfer

Accommodation and Airport Transfer is arranged upon request and at extra cost. For reservations contact the Training Officer on Email: training@armstrongglobalinstitute.com or on Tel: +254720272325 / +254725012095 / +254724452588